It's a very complex question with a very complex answer. STX is one of probably a hundred different examples, but it does help place some context against the flow rate. What makes a field commercial comes down to a million things, such as:
How much does it cost to drill the well? CSG costs are pretty cheap, generally $1-1.5M. STX wells was up around $10M
How often will the well need to be serviced and whats the cost? e.g. A CSG well is done pretty quick so is cheap as far as rig costs go, but CSG wells all required pumps of some description, so if you're replacing the pump everytime...it all adds up.
How close are you to existing production infrastructure. e.g. Can you just tie into a nearby pipeline?
Do you need to build a full scale plant to strip out nasties so that you can tie into a pipeline?
How big is thew reserve e.g. How many wells could you drill and how long will they produce?
In the case of CSG - how will the decline go and as such how many wells to do you need to drill to maintain production rates
And so on and so on.....
My main point is that whilst things are heading in the right direction, there's still some way to go to get a commercial flow rate and more reserves certified. As mentioned by another member, the current wells are supposed to not be optimised for flowing any sort of commercial rate either, it's all about providing there's something worth going for as cheaply as possible, and that's exactly what GAS are doing, so well done to them and the management. The real question will be once they do define 'something is there' how they go about proving the field and commercialising the field...that'll take some big steps forward but a good problem to have!
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It's a very complex question with a very complex answer. STX is...
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